Restaurants Closing Down

[rogerinthai]

During the last year I have seen many restaurants close down, some I believed were successful, private as well as franchises:

Mcdonalds in Asok street - closed down and replaced by 7-11 about 6 months ago.

Dosa King (the Indian restaurant) in sukhumvit 19 - closed down some weeks ago (?)

Subway in All Seasons Place - closed down.

Pita Pan in Sukhumvit opposite Emporium (mid eastern food) - closed down a few days ago.

Coffee Roti in Asok - closed down recently (operated for less than a year)

Did anyone notice other places closing down? Is this a coincidence or a pattern? Obviously things did not go very well for those outlets!

[Upcountry]

Is Dosa King the inexpensive vegetarian Indian restaurant? I don't think it is, but not sure.

If you know what I'm talking about, please post the name and location. I had trouble finding it last time. It's near the exit to one sky train stop (Asok?).

[Sunbelt Asia]

Its all about locations...

Mcdonalds in Asok street- closed down and replaced by 7-11 about 6 months ago.

Bad location. This street has never been good for restaurants even with all the office workers. You can roll up the carpet by 8 p.m.

Dosa King (the Indian restaurant) in sukhumvit 19 - closed down some weeks ago (?)

Very good location. We approach the owners several times to buy them out. A Hotel/ Shopping Complex is being built there on that corner. It’s all going to be knocked down....even the 7/11.

Subway in All Seasons Place - closed down.

We bought them out. Relocated the equipment to Phuket. The rent is too high at that location and no trade after 9 p.m and not much on weekends or Holidays. Great lunch hour ( over 100 people served) but that’s not enough to pay the rent, food costs, etc. You need constant trade 24 hours.

Pita Pan in Sukhumvit opposite Emporium (mid eastern food) - closed down a few days ago.

Good location. IMHO, they should have co-brand. Too big of a space for a niche mkt in that area. If it was on Suk Soi 3 or near Bangkok Hospital, different story.

Coffee Roti in Asok - closed down recently (operated for less than a year)

Asoke = A Score Of Knackered Everyday

Did anyone notice other places closing down? Is this a coincidence or a pattern? Obviously things did not go very well for those outlets!

The Location is key. The second key is if you have a good location but with it, is a high rent. You better be co-branding to lower your cost.

www.sunbeltasiagroup.com

[rogerinthai]

Is Dosa King the inexpensive vegetarian Indian restaurant? I don't think it is, but not sure.

If you know what I'm talking about, please post the name and location. I had trouble finding it last time. It's near the exit to one sky train stop (Asok?).

Just next to Country Road Pub in Suk 19. You won't find it anymore - it closed down, as I mentioned, even the building itself is not there anymore. I don't know what you consider inexpensive, a very nice meal for two (several dishes each) would cost you around 1000-1500 baht. A pity, I say, coz I really liked their food.

[rogerinthai]

Dosa King (the Indian restaurant) in sukhumvit 19 - closed down some weeks ago (?)

Very good location. We approach the owners several times to buy them out. A Hotel/ Shopping Complex is being built there on that corner. It's all going to be knocked down....even the 7/11.

Including Country Road???

Subway in All Seasons Place - closed down.

We bought them out. Relocated the equipment to Phuket. The rent is too high at that location and no trade after 9 p.m and not much on weekends or Holidays. Great lunch hour ( over 100 people served) but that's not enough to pay the rent, food costs, etc. You need constant trade 24 hours.

Being partly hidden behind the escalator, and with Starbucks taking all the attention at the front, probably didn't help it either.

Coffee Roti in Asok - closed down recently (operated for less than a year)

Asoke = A Score Of Knackered Everyday

Another problem is that it is almost impossible to cross the street and get to that side. It's almost like two different streets over there.

You better be co-branding to lower your cost.

I don't get co-branding. Subway + CoffeeWorld in Suk Soi 4: seems like only Subway sells, nothing much for CoffeeWorld, it seems.

[Sunbelt Asia]

Very good location. We approach the owners several times to buy them out. A Hotel/ Shopping Complex is being built there on that corner. It's all going to be knocked down....even the 7/11[

Including Country Road???

yes

Subwayin All Seasons Place - closed down

We bought them out. Relocated the equipment to Phuket. The rent is too high at that location and no trade after 9 p.m and not much on weekends or Holidays. Great lunch hour ( over 100 people served) but that's not enough to pay the rent,

Being partly hidden behind the escalator, and with Starbucks taking all the attention at the front, probably didn't help it either. They had good exposure, hard to miss in fact being on the ground floor. It was more the hours.

You better be co-branding to lower your cost

I don't get co-branding. Subway + CoffeeWorld in Suk Soi 4: seems like only Subway sells, nothing much for CoffeeWorld, it seems.

That corporate owned Coffee World branch does ok at that location around 20k in sales per day. But if we did not co-brand with them, it would be terrible. 350,000 Baht rent a month and 100,000 Baht electricity is many cups of coffee required to show a profit. Now with just 175,000 rent and 50K a month for electricity, they show a profit every month.

The Subway/Coffee World combination at Suk 7/1 does very well. Same as in Pattaya. We are putting in Subway/ Squeeze/ Spicchio Pizza at the new Jungceylon Complex in Phuket. It will lower the rent and electricity having three brands at one location.

www.sunbeltasiagroup.com

[Taboard]

I saw yesterday that O'Brians (the message in the window indicates its a Sunbelt business) on lower Suknumvit has now closed. Failed concept or a victim of the sky-high rents on the Golden Mile?

[Doro22]

Hi Greg,

Just out of curiosity; is the Spicchio brand owned by a single person or is it a bunch of investors behind this? With all the locations (and expanding), a central kitchen (I assume), deliveries etc, they must have put a lot of satangs into this.

Very good location. We approach the owners several times to buy them out. A Hotel/ Shopping Complex is being built there on that corner. It's all going to be knocked down....even the 7/11[

Including Country Road???

yes

Subwayin All Seasons Place - closed down

We bought them out. Relocated the equipment to Phuket. The rent is too high at that location and no trade after 9 p.m and not much on weekends or Holidays. Great lunch hour ( over 100 people served) but that's not enough to pay the rent,

Being partly hidden behind the escalator, and with Starbucks taking all the attention at the front, probably didn't help it either. They had good exposure, hard to miss in fact being on the ground floor. It was more the hours.

You better be co-branding to lower your cost

I don't get co-branding. Subway + CoffeeWorld in Suk Soi 4: seems like only Subway sells, nothing much for CoffeeWorld, it seems.

That corporate owned Coffee World branch does ok at that location around 20k in sales per day. But if we did not co-brand with them, it would be terrible. 350,000 Baht rent a month and 100,000 Baht electricity is many cups of coffee required to show a profit. Now with just 175,000 rent and 50K a month for electricity, they show a profit every month.

The Subway/Coffee World combination at Suk 7/1 does very well. Same as in Pattaya. We are putting in Subway/ Squeeze/ Spicchio Pizza at the new Jungceylon Complex in Phuket. It will lower the rent and electricity having three brands at one location.

www.sunbeltasiagroup.com